Your Villa Magazine - Moreno Valley - Perris - February-March 2022

TAX COMP • (951) 486-9862 • 23025 Atlantic Circle Suite D, Moreno Valley, CA 92553 | 19 2021 Child Tax Credit The American Rescue Plan provides the largest child tax credit ever. It increased the child tax credit to $3,000 per child and $3,600 for children under the age of six. It also raised the age limit from 16 to 17. What is the Earned Income Tax Credit? The EITC is a tax credit intended to reduce or eliminate the tax paid by low and moderate-income wage earners. The EITC doesn’t just cut the amount of tax you owe -- it could score you a refund, and in some cases, a refund that’s more than what you actually paid in taxes. Don’t miss out! You may qualify for up to $6,728 of Earned Income Credit! CALIFORNIA Earned Income Tax Credit 2021 Earned Income Tax Credit Number of Children 0 1 2 3 or more Maximum Credit $1,502 $3,618 $5,980 $6,728 Maximum Earnings Single Filers $21,430 $42,158 $47,915 $51,464 Maximum Earnings Married Filers $27,380 $48,108 $53,865 $57,414 California o ers its own Earned Income Tax Credit. is credit is o ered in addition to the existing federal EITC. e CA EITC is “refundable,” meaning that you will receive a refund if the amount of the credit is greater than the tax you owe. How much can I get? The chart below shows the maximum EITC available for the 2021 tax year, plus the max you can earn before losing the benefit altogether. Investment Income must be less than $10,000. Election to use prior-year earned income. You can elect to use your 2019 earned income to figure your 2021 earned income credit (EIC) if your 2019 earned income is more than your 2021 earned income. Honesty and truthfulness have always been the best guidelines for preparing your income taxes. That doesn’t mean that you should not take advantage of every tax deduction to which you are entitled. Every year we see people who, regretfully, are going through a very difficult time with the IRS. This is usually caused by a previous tax preparer that had overstated deductions on the tax return. Once you sign and file the tax return, you are responsible for the information on the return. Serving Moreno Valley with integrity since 1984. We look forward to serving you~ Tax Comp The cost, time spent, and emotional stress in resolving the problems can be devastating. So take the high road when you choose someone to prepare your taxes. California requires all tax preparers to be registered and bonded if they charge a fee. Which tax preparers are legal? Go to www.ctec.org to see if your preparer is currently registered. Our Community --- Filled with People Doing it the Right Way Why so many come to Tax Comp • Open year round to help you not just today but also tomorrow • Experienced, Registered, and Bonded Tax Professionals • Conveniently located near the Moreno Valley Mall • Great Prices! Affordable and Reasonable • FREE! Electronic Filing/Direct Deposit • A+ Rating from Better Business Bureau • Lowest Price for Bank Products • Less that 1% Rate of IRS Audits • Extended Tax Season Hours • Serving Moreno Valley since 1984.